Marcus & Millichap, Inc. is an American company that provides real estate brokerage, mortgage brokerage, research, and advisory services in the U.S. and Canada in the field of commercial property. It popularized the practice of listing properties exclusively with one brokerage firm. The company has over 1,800 employees in more than 80 offices across the U.S. and Canada.3 It was founded by George M. Marcus.1 Its shares trade on NYSE under the symbol MMI.1Wikipedia text CC BY-SA 4.0
Marcus & Millichap, Inc. is an American company that provides real estate brokerage, mortgage brokerage, research, and advisory services in the U.S. and Canada in the field of commercial property. It popularized the practice of listing properties exclusively with one brokerage firm. The company has over 1,800 employees in more than 80 offices across the U.S. and Canada.3
Financials
From the company’s reports to the SEC. Every number links to the filing it came from.
Revenue1112131410$755.2M in 2025−6% since 2019Operating income1112131410-$13.7M in 2025Net income1112131410-$1.9M in 2025
Revenue1516$202.9M in Q2 FY2026+18% since Q1 FY2026Operating income1516$2.2M in Q2 FY2026Net income1516$3.9M in Q2 FY2026
Every line of the income statement as filed: the last 3 fiscal years, latest first.10
Period ending
2025-12-31
2024-12-31
2023-12-31
Total revenue
$755.2M
$696.1M
$645.9M
Cost of services
$470.5M
$431.5M
$406.6M
Selling, general and administrative
$286.3M
$280.9M
$285.0M
Depreciation and amortization
$12.1M
$16.6M
$13.6M
Total operating expenses
$768.9M
$729.0M
$705.3M
Operating loss
-$13.7M
-$32.9M
-$59.4M
Other income, net
$17.5M
$20.7M
$19.9M
Interest expense
-$773.0K
-$812.0K
-$888.0K
Income (loss) before provision (benefit) for income taxes
$3.0M
-$13.0M
-$40.4M
Provision (benefit) for income taxes
$4.9M
-$666.0K
-$6.4M
Net loss
-$1.9M
-$12.4M
-$34.0M
Basic (in dollars per share)
-$0.05
-$0.32
-$0.88
Diluted (in dollars per share)
-$0.05
-$0.32
-$0.88
Basic (in shares)
38.9M shares
38.7M shares
38.7M shares
Diluted (in shares)
38.9M shares
38.7M shares
38.7M shares
No quarter-by-quarter statement was filed.
Total assets171112131410$827.2M in 2025+17% since 2019Total liabilities171112131410$224.1M in 2025+5% since 2019Shareholders’ equity12131410$603.1M in 2025+22% since 2019Cash17111210$161.9M in 2025−30% since 2019
Total assets1516$765.8M in Q2 FY2026−7% since Q1 FY2025Total liabilities1516$186.9M in Q2 FY2026−17% since Q1 FY2025Shareholders’ equity1516$578.9M in Q2 FY2026−4% since Q1 FY2025Cash1516$153.5M in Q2 FY2026−5% since Q1 FY2025
Every line of the balance sheet as filed: the last 4 fiscal years (annual) or 4 quarters (quarterly), latest first.10
Period ending
2025-12-31
2024-12-31
2023-12-31
2022-12-31
Cash, cash equivalents, and restricted cash (restricted cash of $11,253 and $10,678 at December 31, 2025 and December 31, 2024, respectively)
$161.9M
$153.4M
$170.8M
$235.9M
Commissions receivable
$14.9M
$18.8M
Prepaid expenses
$10.4M
$9.3M
Income tax receivable
$2.0M
$6.0M
Marketable debt securities, available-for-sale (amortized cost of $90,557 and $189,667 at December 31, 2025 and December 31, 2024, respectively, and $0 allowance for credit losses)
$90.6M
$189.7M
Advances and loans, net
$15.3M
$17.5M
Other assets, current
$14.2M
$15.5M
Total current assets
$309.2M
$410.3M
Property and equipment, net
$23.9M
$26.1M
Operating lease right-of-use assets, net
$74.3M
$81.1M
Marketable debt securities, available-for-sale (amortized cost of $145,570 and $52,366 at December 31, 2025 and December 31, 2024, respectively, and $0 allowance for credit losses)
$145.7M
$51.1M
Assets held in rabbi trust
$13.5M
$12.2M
Deferred tax assets, net
$44.6M
$48.1M
Goodwill and other intangible assets, net
$41.7M
$43.5M
Advances and loans, net
$147.2M
$173.7M
Other assets, non-current
$27.1M
$23.6M
Total assets
$827.2M
$869.8M
Accounts payable and accrued expenses
$11.0M
$13.7M
Deferred compensation and commissions
$57.5M
$67.2M
Operating lease liabilities
$18.8M
$18.5M
Accrued bonuses and other employee related expenses
$23.9M
$25.5M
Other liabilities, current
$10.3M
$8.1M
Total current liabilities
$121.4M
$133.0M
Deferred compensation and commissions
$35.4M
$33.3M
Operating lease liabilities
$59.5M
$65.7M
Other liabilities, non-current
$7.8M
$7.0M
Total liabilities
$224.1M
$239.0M
Commitments and contingencies
$0
$0
Preferred stock
$0
$0
Common stock
$4.0K
$4.0K
Additional paid-in capital
$192.9M
$173.3M
Retained earnings
$409.8M
$458.9M
Accumulated other comprehensive income (loss)
$401.0K
-$1.4M
Total stockholders equity
$603.1M
$630.8M
$645.3M
$713.5M
Total liabilities and stockholders equity
$827.2M
$869.8M
Restricted cash
$11.3M
$10.7M
Marketable debt securities, available-for-sale, amortized cost, current
$90.6M
$189.7M
Marketable debt securities, available-for-sale, allowance for credit losses, current
Marketable debt securities, available-for-sale, allowance for credit losses, noncurrent
$0
$0
Preferred stock, par value (in dollars per share)
$0.00
$0.00
Preferred stock, shares authorized (in shares)
25.0M shares
25.0M shares
Preferred stock, shares issued (in shares)
0 shares
0 shares
Preferred stock, shares outstanding (in shares)
0 shares
0 shares
Common stock, par value (in dollars per share)
$0.00
$0.00
Common stock, shares authorized (in shares)
150.0M shares
150.0M shares
Common stock, shares issued (in shares)
38.4M shares
38.9M shares
Common stock, shares outstanding (in shares)
38.4M shares
38.9M shares
Period ending
2025-12-31
2024-12-31
2023-12-31
2022-12-31
Cash, cash equivalents, and restricted cash (restricted cash of $11,253 and $10,678 at December 31, 2025 and December 31, 2024, respectively)
$161.9M
$153.4M
$170.8M
$235.9M
Commissions receivable
$14.9M
$18.8M
Prepaid expenses
$10.4M
$9.3M
Income tax receivable
$2.0M
$6.0M
Marketable debt securities, available-for-sale (amortized cost of $90,557 and $189,667 at December 31, 2025 and December 31, 2024, respectively, and $0 allowance for credit losses)
$90.6M
$189.7M
Advances and loans, net
$15.3M
$17.5M
Other assets, current
$14.2M
$15.5M
Total current assets
$309.2M
$410.3M
Property and equipment, net
$23.9M
$26.1M
Operating lease right-of-use assets, net
$74.3M
$81.1M
Marketable debt securities, available-for-sale (amortized cost of $145,570 and $52,366 at December 31, 2025 and December 31, 2024, respectively, and $0 allowance for credit losses)
$145.7M
$51.1M
Assets held in rabbi trust
$13.5M
$12.2M
Deferred tax assets, net
$44.6M
$48.1M
Goodwill and other intangible assets, net
$41.7M
$43.5M
Advances and loans, net
$147.2M
$173.7M
Other assets, non-current
$27.1M
$23.6M
Total assets
$827.2M
$869.8M
Accounts payable and accrued expenses
$11.0M
$13.7M
Deferred compensation and commissions
$57.5M
$67.2M
Operating lease liabilities
$18.8M
$18.5M
Accrued bonuses and other employee related expenses
$23.9M
$25.5M
Other liabilities, current
$10.3M
$8.1M
Total current liabilities
$121.4M
$133.0M
Deferred compensation and commissions
$35.4M
$33.3M
Operating lease liabilities
$59.5M
$65.7M
Other liabilities, non-current
$7.8M
$7.0M
Total liabilities
$224.1M
$239.0M
Commitments and contingencies
$0
$0
Preferred stock
$0
$0
Common stock
$4.0K
$4.0K
Additional paid-in capital
$192.9M
$173.3M
Retained earnings
$409.8M
$458.9M
Accumulated other comprehensive income (loss)
$401.0K
-$1.4M
Total stockholders equity
$603.1M
$630.8M
$645.3M
$713.5M
Total liabilities and stockholders equity
$827.2M
$869.8M
Restricted cash
$11.3M
$10.7M
Marketable debt securities, available-for-sale, amortized cost, current
$90.6M
$189.7M
Marketable debt securities, available-for-sale, allowance for credit losses, current
Marketable debt securities, available-for-sale, allowance for credit losses, noncurrent
$0
$0
Preferred stock, par value (in dollars per share)
$0.00
$0.00
Preferred stock, shares authorized (in shares)
25.0M shares
25.0M shares
Preferred stock, shares issued (in shares)
0 shares
0 shares
Preferred stock, shares outstanding (in shares)
0 shares
0 shares
Common stock, par value (in dollars per share)
$0.00
$0.00
Common stock, shares authorized (in shares)
150.0M shares
150.0M shares
Common stock, shares issued (in shares)
38.4M shares
38.9M shares
Common stock, shares outstanding (in shares)
38.4M shares
38.9M shares
Cash from operations1112131410$66.7M in 2025+164% since 2019Capital spending1112131410$7.9M in 2025−11% since 2019Free cash flow1112131410$58.8M in 2025+257% since 2019Dividends paid12131410$20.6M in 2025Share buybacks12131410$25.4M in 2025
Cash flow is reported year to date, not quarter by quarter, so there are no separate quarterly figures.
Every line of the cash flow as filed: the last 3 fiscal years, latest first.10
Period ending
2025-12-31
2024-12-31
2023-12-31
Net loss
-$1.9M
-$12.4M
-$34.0M
Depreciation and amortization
$12.1M
$16.6M
$13.6M
Non-cash lease expense
$21.3M
$25.0M
$26.3M
Credit loss expense (recovery)
-$31.0K
$578.0K
-$128.0K
Stock-based compensation
$24.2M
$23.8M
$24.1M
Deferred taxes, net
$3.1M
-$1.4M
-$6.4M
Unrealized foreign exchange (gains) losses
-$108.0K
$191.0K
-$37.0K
Net realized (gains) losses on marketable debt securities, available-for-sale
-$8.0K
$0
$190.0K
Other non-cash items
$2.4M
-$1.7M
-$341.0K
Commissions receivable
$4.4M
-$3.4M
-$7.6M
Prepaid expenses
-$1.1M
-$498.0K
$599.0K
Advances and loans
$29.1M
-$12.8M
-$5.2M
Other assets
-$2.4M
-$8.8M
-$7.2M
Accounts payable and accrued expenses
-$3.6M
$5.7M
-$3.0M
Income tax receivable and payable
$4.1M
$3.3M
-$616.0K
Accrued bonuses and other employee related expenses
-$1.6M
$6.4M
-$19.2M
Deferred compensation and commissions
-$7.0M
-$1.8M
-$35.8M
Operating lease liabilities
-$19.8M
-$19.0M
-$18.4M
Other liabilities
$3.5M
$2.1M
$573.0K
Net cash provided by (used in) operating activities
$66.7M
$21.7M
-$72.4M
Purchases of marketable debt securities, available-for-sale
-$327.0M
-$190.7M
-$302.3M
Proceeds from sales and maturities of marketable debt securities, available-for-sale
$331.1M
$188.8M
$391.6M
Purchases of convertible notes
$0
$0
-$5.0M
Issuances of employee notes receivable
-$105.0K
-$82.0K
-$126.0K
Payments received on employee notes receivable
$0
$6.0K
$34.0K
Purchase of property and equipment
-$7.9M
-$7.9M
-$9.4M
Net cash (used in) provided by investing activities
-$3.8M
-$9.9M
$74.9M
Taxes paid related to net share settlement of stock-based awards
-$5.9M
-$5.9M
-$4.4M
Proceeds from issuance of shares pursuant to employee stock purchase plan
$821.0K
$847.0K
$661.0K
Dividends paid
-$20.6M
-$20.2M
-$20.1M
Principal payments on stock appreciation rights liability
-$2.2M
-$2.0M
-$1.9M
Principal payments on deferred and contingent consideration
-$1.4M
-$743.0K
-$2.4M
Cash paid for stock repurchases
-$25.4M
-$785.0K
-$39.4M
Net cash used in financing activities
-$54.6M
-$28.8M
-$67.7M
Effect of currency exchange rate changes on cash, cash equivalents, and restricted cash
$219.0K
-$365.0K
$122.0K
Net increase (decrease) in cash, cash equivalents, and restricted cash
$8.5M
-$17.3M
-$65.1M
Interest paid during the period
$478.0K
$581.0K
$478.0K
Income taxes paid, net
$422.0K
$468.0K
$674.0K
Cash paid for amounts included in the measurement of operating lease liabilities
$24.0M
$23.2M
$22.3M
Unpaid purchases of property and equipment
$1.2M
$561.0K
$257.0K
Right-of-use assets obtained in exchange for operating lease liabilities
$14.4M
$16.1M
$28.3M
Issuance of stock for the settlement of deferred consideration
Marcus & Millichap sits at the top of its group. 16 entities, 2 countries on record. Switch between the flow chart and the network, and select any entity to see its details.
Major holders of Marcus & Millichap
SCHRODER INVESTMENT MANAGEMENT GROUP Filed SCHEDULE 13G on Marcus & Millichap, latest Aug 12, 2026
VANGUARD PORTFOLIO MANAGEMENT LLC Filed SCHEDULE 13G on Marcus & Millichap, latest Apr 29, 2026
PZENA INVESTMENT MANAGEMENT LLC Filed SCHEDULE 13G on Marcus & Millichap, latest Apr 17, 2026
VANGUARD GROUP INC Filed SCHEDULE 13G/A on Marcus & Millichap, latest Mar 27, 2026 (5 filings since Feb 10, 2022)
REINHART PARTNERS, LLC. Filed SCHEDULE 13G/A on Marcus & Millichap, latest Feb 12, 2026 (2 filings since May 15, 2025)
ROYCE & ASSOCIATES LP Filed SCHEDULE 13G/A on Marcus & Millichap, latest Apr 30, 2025 (4 filings since Jan 24, 2023)
Marcus & MillichapDover, Delaware, United States
Marcus & Millichap Capital Corporation Subsidiary · California, United States
Marcus & Millichap Capital Corporation Canada Inc. Subsidiary · New Brunswick, Canada
Marcus & Millichap Chicago Multifamily Brokers, LLC Subsidiary · Illinois, United States
Marcus & Millichap Real Estate Investment Services Canada Inc. Subsidiary · New Brunswick, Canada
Marcus & Millichap Real Estate Investment Services of Atlanta, Inc. Subsidiary · Georgia, United States
Marcus & Millichap Real Estate Investment Services of Chicago, Inc. Subsidiary · California, United States
Marcus & Millichap Real Estate Investment Services of Florida, Inc. Subsidiary · California, United States
Marcus & Millichap Real Estate Investment Services of Nevada, Inc. Subsidiary · California, United States
Marcus & Millichap Real Estate Investment Services of North Carolina, Inc. Subsidiary · California, United States
Marcus & Millichap Real Estate Investment Services of Seattle, Inc. Subsidiary · California, United States
Marcus & Millichap Real Estate Investment Services, Inc. Subsidiary · California, United States
Mission Capital Advisors, L.L.C. Subsidiary · Florida, United States
Mission Capital Personnel Services, LLC Subsidiary · Florida, United States
Mission Global LLC Subsidiary · Delaware, United States
Services D’Investissement Immobilier Marcus & Millichap Québec Inc. / Marcus & Millichap Real Estate Investment Services Québec Inc. Subsidiary · Quebec, Canada
Built from parent and subsidiary links from GLEIF, the Global Legal Entity Identifier Foundation (CC0); subsidiaries listed in Exhibit 21 of annual reports filed with the SEC; major holders from Schedules 13D and 13G. Each entity in the chart links to its source.
What it owns
What Marcus & Millichap reports owning in its annual reports to the SEC: buildings, land and equipment, real estate and locations, investments, intangible assets and inventory, at the end of its latest fiscal year and a year before.
Our principal executive offices are located at 23975 Park Sorrento, Suite 400, Calabasas, California 91302. Our telephone number is (818) 212-2250. We lease all of our brokerage offices (typically less than 12,000 square feet) and other support facilities in the United States and Canada. We believe that our current facilities are adequate to meet our needs through the end of 2026; however, as we continue to evaluate our office footprint, our lease needs could change during the year.
The company was founded in Palo Alto in 1971 by George M. Marcus.
William Millichap was one of the first salespeople Marcus hired, and was made a partner in 1976. The company was incorporated in California on August 26, 1976 as G. M. Marcus & Company, and was renamed as Marcus & Millichap, Inc. in August 1978.
In 2013, it became a public company via an initial public offering.
In December 2015, Marcus & Millichap expanded its institutional property market in the areas of office and industrial with the creation of Institutional Property Advisors (IPA)
In May 2016, Hessam Nadji was named Chief Executive Officer.
In 2018, Marcus & Millichap expanded its Canadian presence with the acquisition of McGill Commercial. In the same year, Marcus & Millichap acquired Primecorp in Canada.
In 2019, Marcus & Millichap further expanded in Canada when it acquired Form Real Estate Advisors
In 2020, Marcus & Millichap expanded its Marcus & Millichap Capital Corp (MMCC) division with the acquisitions of Metropolitan Capital Advisors, Mission Capital Advisors and LMI Capital.
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In March 2025, Marcus & Millichap's Institutional Property Advisors (IPA) Capital Markets division appointed Onorio Lucchese as senior managing director in its Toronto office to enhance cross-border capital-raising efforts and support the firm's strategic expansion within the Canadian market.
In June 2025, Marcus & Millichap brokered the $6.65 million sale of Ellery Apartments, a 14-unit property built in 1880 in Harvard Square, Cambridge, marking its first change in ownership in over forty years.
Upcoming dates from Nasdaq's calendar; past results from the company's 8-K filings (Item 2.02). The full markets calendar
Filings
274 filings to the SEC since October 2021: 6 annual reports, 15 quarterly reports, 27 major events, 172 insider forms, 20 large holders, 34 other. The latest 20:
37 open-market trades by officers, directors and large owners since October 2021: 2 buys and 35 sales. Grants, option exercises and gifts are left out.
What the company paid its top executives, from the summary compensation table in its proxy statement. Total pay includes salary, bonus, stock and option awards and other pay, as the company valued them.
The largest holders among investment managers' 13F reports for the quarter ending Jun 30, 2026, the top 25 of 100. Change is in shares since the quarter before.
13F reports cover disclosed long positions in U.S. stocks only.
SEC filer profile
How Marcus & Millichap is registered with the Securities and Exchange Commission, from its EDGAR record and the cover page of its latest annual report.
From the cover page of the 10-K filed Feb 26, 2026 (Section 12(b) of the Exchange Act).18
Risk factors and legal proceedings
The risks Marcus & Millichap names in Item 1A of its 10-K filed Feb 26, 2026: 43 risks under these headings, as written.18
External Business Risks
General economic conditions and commercial real estate market conditions have had and may in the future have a negative impact on our business.
The impact of hybrid work and lower office real estate occupancy rates could adversely affect our business.
Increases in prevailing interest rates may place downward pressure on commercial real estate prices and could potentially reduce commercial real estate investment activity, negatively impacting our business.
Our business has been, and may in the future, be adversely affected by restrictions in the availability of debt or equity capital, the fluctuating cost of capital, as well as a lack of adequate credit and the risk of deterioration of the debt or credit markets and commercial real estate markets.
Inflation can have an adverse impact on our business and on our clients.
Our loss sharing indemnification obligation pursuant to our agreement with M&T Realty Capital Corporation may adversely impact our results of operations, cash flows and/or our financial condition.
We have numerous significant competitors and potential future competitors, some of which may have greater resources than we do, and we may not be able to continue to compete effectively.
Our brokerage operations are subject to geographic and commercial real estate market risks, which could adversely affect our revenue and profitability.
Seasonal fluctuations and other market data in the investment real estate industry could adversely affect our business and make comparisons of our quarterly results difficult.
A change in the tax laws relating to like-kind exchanges could adversely affect our business and the value of our stock.
A change in the tax laws could adversely affect our business and the value of our stock.
The other 32 risks
New laws or regulations or changes in existing laws or regulations or the application thereof could adversely affect our businesses, financial condition, results of operations, and prospects.
We are subject to complex and evolving licensing and regulatory requirements.
Human Resource and Personnel Risks
If we are unable to attract and retain qualified and experienced managers, investment sales and financing professionals, our growth may be limited, and our business and operating results could suffer.
If we lose the services of our executive officers or certain other members of our senior management team, we may not be able to execute our business strategy.
Our business could be hurt if we are unable to maintain our business philosophy and culture of information sharing and efforts to maintain our philosophy and culture could adversely affect our ability to maintain and grow our business.
The concentration of sales among our top investment sales and financing professionals could lead to losses if we are unable to retain them or if there is an economic downturn.
Our investment sales professionals are independent contractors, not employees, and if laws, regulations or rulings mandate that they be employees, our business would be adversely impacted.
Fraud, or theft, which is difficult to detect and deter, could harm us by impairing our ability to attract and retain clients and subjecting us to significant legal liability and reputational harm.
Internal Business Risks
We may fail to successfully differentiate our brand from those of our competitors, which could adversely affect our revenue.
Our continued efforts to expand our services and businesses may not be successful, and we may expend significant resources without corresponding returns.
If we experience significant growth in the future, such growth may be difficult to sustain and may place significant demands on our administrative, operational and financial resources.
If we acquire businesses in the future, we may experience high transaction and integration costs, the integration process may be disruptive to our business and the acquired businesses may not perform as we expect.
A majority of our revenue is derived from transaction fees, which are not long-term contracted sources of recurring revenue and are subject to external economic conditions and declines in those engagements could have a material adverse effect on our financial condition and results of operations.
If we are unable to retain existing clients and develop new clients, our financial condition may be adversely affected.
A failure by third parties to comply with service agreements or regulatory or legal requirements could result in economic and reputational harm to us.
Failure to comply with confidentiality obligations could damage our reputation and materially harm our operating results.
We may face significant liabilities and/or damage to our professional reputation as a result of litigation allegations and negative publicity.
Failure to appropriately address actual or perceived conflicts of interest could adversely affect our businesses.
Technology and Cybersecurity Risks
If we do not respond to technological innovations or changes or upgrade our technology systems, our growth prospects and results of operations could be adversely affected.
Interruption, data security breaches, or failure of our information technology, communications systems or data services could hurt our ability to effectively provide our services, which could damage our reputation and harm our operating results.
Failure to maintain the security of our information and technology networks, including personally identifiable and client information could adversely affect us.
Investment Risks
Our investments in marketable debt securities, available-for-sale are subject to certain risks which could affect our overall financial condition, results of operations or cash flows.
We may be deemed to be an investment company due to our investments in marketable debt securities, available-for-sale and, if such a determination were made, we would become subject to significant regulation that would adversely affect our business.
Risks Related to Our Founder
Our Chair and founder owns a significant portion of our common stock, which may prevent other stockholders from influencing significant decisions, and the sale of such stock may depress the price of our common stock and impair our ability to raise capital.
Our Chair may have actual or potential conflicts of interest because of his position with MMC.
General Risks
Our existing goodwill and other intangible assets could become impaired, which may require us to take non-cash charges.
Our brand and reputation are important Company assets, and will be affected by how we are perceived in the marketplace.
In preparing our financial statements we make certain assumptions, judgments, and estimates that affect amounts reported in our consolidated financial statements, which, if not accurate, may significantly impact our financial results.
The price of our common stock may fluctuate significantly, and you could lose all or part of your investment.
If securities analysts do not publish research or reports about our business or if they downgrade our Company or our sector, or we do not meet expectations of the analysts the price of our common stock could decline.
Significant fluctuations in our revenue and net income may make it difficult for us to achieve steady earnings growth on a quarterly or an annual basis, which may make the comparison between periods difficult and may cause the price of our common stock to decline.
Future sales or the perception of future sales of a substantial amount of our common stock may depress the price of shares of our common stock.
Legal proceedings
We are involved in claims and legal actions arising in the ordinary course of our business, some of which involve claims for damages that are substantial in amount. Most of these litigation matters are covered by our insurance policies, which contain deductibles, exclusions, claim limits and aggregate policy limits. Such litigation and other proceedings may include, but are not limited to, actions relating to commercial relationships, standard brokerage disputes like the alleged failure to disclose physical or environmental defects or property expenses or contracts, the alleged inadequate disclosure of matters relating to the transaction like the relationships among the parties to the transaction, potential claims or losses pertaining to the asset, vicarious liability based upon conduct of individuals or entities outside of our control, general fraud claims, conflicts of interest claims, employment law claims, including claims challenging the classification of our sales professionals as independent contractors, claims alleging violations of state consumer fraud statutes and intellectual property. While the ultimate liability for these legal proceedings cannot be determined, we review the need for an accrual for loss contingencies quarterly and record an accrual for litigation related losses where the likelihood of loss is both probable and estimable.
On October 1, 2025, a jury in Boone County, Missouri returned a verdict against our subsidiary, MMREIS, in connection with the 2019 sale of a student-housing property near the University of Missouri. The jury awarded MO Murrayfield, LLC, the purchaser of the property, $4.075 million in actual damages and $20.0 million in punitive damages and awarded TwinRock Holdings, LLC $10.0 million in punitive damages with $0 in actual damages. On October 24, 2025, the Circuit Court entered judgments in the above amounts in favor of the purchaser and the other party.
